Wal-Mart Stores Inc was one of the worst performers on the Dow after JPMorgan downgraded the stock. Shares fell 1.6% to $54.80.

The S&P 500 has gained nearly 27% since the start of September. It now stands near the 50% extension of last year’s slide from April to July and also near 100% advance from the low hit in March 2009.

The coincidence of the levels makes the technical resistance stronger.

Still, some traders see residual strength in the market and are willing to buy on any declines in prices.

“We wouldn’t be surprised to see a pullback, but longer term we think the market has room to grow,” said Mitch Rubin, chief investment officer at RiverPark Advisors in New York.

Advancing stocks outnumbered declining ones on the NYSE by a ratio of about 5 to 4, while on the Nasdaq, about seven stocks rose for every six that fell.

US President Barack Obama proposed a federal budget that he said would cut the US deficit by $1.1 trillion over the next 10 years. Congress must approve the plan, and Republicans, who are in the majority in the House, said it did not curb spending enough.

Obama’s budget would provide $8 billion for investment in clean energy, but big drugmakers might take a hit from generic competition under two proposals in the plan.